Tips for Next Steps
Almost all Homeowners Policies include coverage for Additional Living Expenses, commonly called ALE. This coverage is intended to pay for the additional expenses you will incur while your property is being repaired. Most people use this coverage to pay for a hotel initially, and then a more permanent rental house. There are almost always limits, either a dollar or a time limit. Hotels are expensive, as is eating in restaurants, so it is important to get into a permanent rental situation quickly (and to get the repairs going quickly) so that you don’t run out of ALE coverage.
SAVE YOUR RECEIPTS
Save every receipt for every expense after the loss. Many of these expenses will apply either to your ALE claim, or to your personal property claim. If you buy clothes to replace those lost or damaged, for example, those expenses will become part of your personal property claim. And remember, ALE coverage only applies to additional expenses, meaning the difference between the cost of restaurants instead of what you would normally spend eating at home, for example. So documenting every expense is vitally important. And be sure to give this information to your accountant at tax time: There may be a tax deduction available.
REPLACE VALUABLE DOCUMENTS
Replace any of these documents that were damaged or lost as quickly as you can. And if any of them remain in the property following the loss, remove them and store them in a safe place.
- Driver’s license
- Bankbooks (checking, savings)
- Wills
- Medical records
- Passports
- Insurance policies
- Birth, death, and marriage certificates
- Social Security cards
- Medicare or Medicaid cards
- Credit cards
- Titles to deeds
- Stocks and bonds
- Warranties
- Income tax records
- Citizenship papers
- Animal registration papers
- Mortgage documents
Replace Burned or Damaged Money
Bills
Place damaged paper money in a zip-loc bag to preserve it and handle it as little as possible. You have two options for replacing burned money:
1.
2.
Department of the Treasury
Bureau of Engraving and Printing
Office of Currency Standards
P.O. Box 37048
Washington, DC 20013
Coins
You can take damaged or melted coins to your regional Federal Reserve Bank as well or mail by “registered mail, return receipt requested” to:
Superintendent U.S. Mint
P.O. Box 400
Philadelphia, PA 19105
U.S. Savings Bonds
To replace destroyed U.S. Savings Bonds, obtain the Department of Treasury Form PDF 1048 (I) from your local bank or at www.ustreas.gov and mail it to:
Department of the Treasury
Bureau of the Public Debt
Savings Bonds Operations
P.O. Box 1328
Parkersburg, WV 26106-1328